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The Figure Below Shows Revenue and Cost Curves of a Natural

Question 2

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The figure below shows revenue and cost curves of a natural monopoly firm.Figure 14.1

The figure below shows revenue and cost curves of a natural monopoly firm.Figure 14.1 ​    In the figure, D: Demand curve MR: Marginal revenue curve MC: Marginal cost curve ATC: Average total cost curve -Which of the following is a possible reason for governments to regulate business operations? A) To increase monopoly profits B) To reduce the amount of information consumers have about a product C) To increase negative externalities D) To promote competitive behavior E) To decrease positive externalities In the figure,
D: Demand curve
MR: Marginal revenue curve
MC: Marginal cost curve
ATC: Average total cost curve
-Which of the following is a possible reason for governments to regulate business operations?


A) To increase monopoly profits
B) To reduce the amount of information consumers have about a product
C) To increase negative externalities
D) To promote competitive behavior
E) To decrease positive externalities

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